Williams at a Glance History Project Management Operational Business Improvement Knowledge Management

Transcription

1 Process and Knowledge Management at Williams E&P Sondra Holt Manager of Business Processes Exploration and Production Williams October 4, Topics for Discussion Williams at a Glance History Project Management Operational Business Improvement Knowledge Management 2 Williams Today Williams has 4,450 employees in 27 states Major offices are in Denver, Houston, Salt Lake City and Tulsa Williams ranked No. 211 on the most recent Fortune years in business 3 1

2 Focused on Natural Gas Production Williams is the 12 th largest natural gas producer in U.S. Developed almost 5,000 new natural gas wells over the past 3 years 99% drilling success rate We produce enough natural gas in 1 day to meet the energy needs of 4 million homes 4 Project Management - Operational Three basic E&P operational types of projects Drilling Pipeline Facilities Tools used by Project Managers vary, depending on type of project Fundamental project management practices Weekly drilling meetings Drilling schedules Other forms of communication Resource management Project plans/summaries are required for some nonroutine types of projects when authorization of expenditure process is completed 5 Non-routine projects Require risk evaluation prior to project approval using a risk evaluation form Require project summary or project plan depending on level of project Require notification to environmental, health and safety groups Specific project forms are completed and maintained in system Approval of financial commitment for project also includes approval of project methodology 6 2

3 Project Plan Summary Non routine projects 7 Project Management Approach Business Process Implementation Business improvement prioritized by Sr. Management Priorities: Compliance Practical/cost effective for business Non-disruptive to operations Management System Framework (E&PWAY) implementation top priority for 2007 Fundamental project management is applied as processes are improved/implemented Knowledge Management/Records Management are integrated 8 E&P Business Goal Move to More Process Focused Business Unit E&P Current State APQC Benchmark Best Practice Companies Functional-based Process-thinking Process-focused Process-based Functional-based organizations Hierarchical in practice Manage people who perform vertical process activities. Difficult to respond to rapidly changing markets and customer needs. Process-thinking organizations Conceptualize groups of activities as processes Seek to understand how processes work together to take inputs and produce products & services for profit Leads to the development of definitions and documentation of processes Does not invoke action to integrate people and the business. Process-focused organizations Integrate design & manage end-to-end customer-driven processes that are tied to functional activities and goals. Focus for management shifts from hierarchical to horizontal management. Takes action to integrate process-thinking with the organizational structures (functions), business objectives, and people that drive changes in work and causes behaviors to change. Process-based organizations (Process Centric) Reorganize &manage completely around processes with an end-to-end focus on work flow that creates value for the customer. Functional activities are embedded in the processes A senior executive is responsible for the inter-enterprise process. Organize work starting at the customer interface to final service or product delivery. 9 3

4 E&P Business Process Focus Optimize process performance across E&P Focus on ways to leverage common processes while meeting asset specific needs Enable effective business decisions by improving management reporting Provide effective central support for E&P s de-centralized Asset Teams Provide a central repository for knowledge sharing Single point for process coordination for E&P Ensure common technology platform for consistency while honoring geographic/functional needs 10 Seven Common Tenets of Business Process Management 1. Strategy is aligned with business objectives. 2. Enterprise process model provides a value chain view of core processes. 3. Measures are in place to assess process performance and maturity. 4. Leadership is engaged. 5. Change management approaches (e.g., training, knowledge transfer, learning) are incorporated. 6. Enabling technology supports and automates efforts. 7. Process improvement methodologies facilitate the transition from design to execution to transformation. 11 People Technology Process E&P Process Structure Align for Consistency Support People Closest to the Well Process Owners Establish a Executive/Leader As Owner of Critical E&P Processes E&P Process Teams- Process Owner, E&P Process Managers, Performers, Key Process Subject Matter Experts Teams Process Support Team E&P Process Leader, IT Bus. Partner, F&A Business Partner, HR Business Partner, Chg. Mgmt. Process Support Team (other dedicated resources, e.g. Process Analyst, and Centralized Roles to Support Process Owners) E&P Process Governance Council E&P Sr Mgt Governance Council Team, Designated Executive Sponsor 12 4

5 Business Process Management Methodology BPM focuses on 4 different areas of a process: Define and Design, Document, Measure, & Maintain, Sustain, and Improve Manage implementation of a process as a project 1. Conduct consistent process reviews to ensure documentation, measures, controls, and action planning is current IMPROVE DEFINE 1. Determine Scope 2. Determine Customer Requirements 3. Determine Strategy, Policies, & Goals 4. Determine Communication Plan/ Project Plan 1. Identify appropriate process measures 2. Establish Service Level Agreement(s) 3. Provide monthly process scorecards 4. Identify gaps, action planning MEASURE DOCUMENT 1. Document Process 2. Determine Technology Requirements (Optional) 3. Complete supporting documents/ training 4. Implement process/ (technology) 13 Balance People, Process, Enabled by Technology Successful business management considers people, processes and technology Technology enables the process and the people Change management critical to success Dedicated team ensures ongoing improvements Leadership engagement Everyone aligned to vision/goals People Function as one Team, Active participation in all phases of business improvement Efficient technology platform that effectively supports the process and the people Technology Process -Design, Document Measure & Improve the process -Ensure accurate business requirements for resources and technology 14 Business Process Management Approach Focus - Three Levels of Performance ANY BUSINESS I. Organization Level II. Process Level III. Job/Performer Level Suppliers Customers Vision, Strategy, Policies, Standards Processes, Measures, Scorecards Procedures, Training Documentation 15 5

6 Williams Process Model Based on American Productivity & Quality Center (APQC) Framework that serves as a high level industry neutral enterprise model Allows organizations to see activities from a crossindustry process viewpoint 16 Process Model g OPERATIONAL 2.0 Design/Develop Markets, Products & Services 3.0 Market & Sell 4.0 Produce & Deliver 5.0 Invoice & Manage Customers ENABLING 1.0 Develop Vision 6.0 Develop & Manage 7.0 Manage Information 8.0 Manage Financial & Strategy Human Resources Resources & Tech. Resources 9.0 Manage Physical Infrastructure 10.0 Manage Environmental, Health & Safety 11.0 Manage Legal, Regulatory and Compliance 12.0 Manage Improvement & Change 17 Knowledge Management Effective process management includes knowledge management Definition Knowledge management (KM) is the intentional design of processes, behaviors, and tools that connect people to people and people to information to consistently provide the right information to the right people at the right time in the right context in order to achieve individual and organizational goals and objectives. KM is a journey of continuous improvement treating knowledge as an asset. 18 6

7 Knowledge Management Benefits Information and knowledge benefits Retrieving vital information faster Gaining access to expertise Having information accessible in one place Intermediate benefits Minimizing duplication Sharing knowledge across groups Getting new hires or transitioned employees up to speed faster Organizational benefits Reducing costs Increasing productivity Customer and stakeholder benefits Better products and services Higher quality 19 E&P Approach to KM Two primary access points via E&P website Knowledge Repository: Access to Goals, Policy, Process, Procedures and Measures. E&PWAY: One source for documentation needed by E&P employees to implement E&PWAY Organized By process, based on Process Model By role, where possible Approach Apply process management methodology/framework Apply records management as processes are rolled out, e.g. develop file structure, etc. 20 Business Process/Knowledge Management Repository File Structure File Plan

8 Sharepoint Technology Initial Implementation 4 th Quarter 1. Initiator of MOC form accesses form from E&PWAY Site 2. Users will access completed forms by Asset/Team/E&P 22 Questions? Sondra Holt Manager of Business Processes Exploration & Production Williams One Williams Center PO BOX 2400, MD 34-7 Tulsa, OK Sondra.Holt@Williams.com 23 8